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Case Law - save on Lexis / WestLaw. Original MSWord Version This case can also be found at *CITE_PENDING*.
SYLLABUS
(This syllabus is not part of the opinion of the Court. It has
been prepared by the Office of the Clerk for the convenience of the
reader. It has been neither reviewed nor approved by the Supreme Court. Please
note that, in the interests of brevity, portions of any opinion may not
have been summarized). Argued September 28, 2005 -- Decided December 28, 2005 LONG, J., writing for a unanimous Court, On this appeal, the Court is called upon to determine whether, in addition to the immunities provided in the Tort Claims Act, a governmental entity in this case a public school board enjoys the benefits of the Charitable Immunity Act.
In March of 2002, then 79-year-old Virginia Tonelli and her husband, Alfred Tonelli
went to the Lincoln School in Wyckoff to watch their granddaughter play soccer
for a local club. Lincoln School is a public school owned and controlled
by the Wyckoff Board of Education, a public entity. The Board allowed the
soccer club to use the schools soccer field under a policy that permits
non-profit private groups to use school facilities to meet the needs of the
community. After the game, as the Tonellis were walking through the school parking
lot, Mrs. Tonelli tripped over a speed bump and fell, fracturing her hip.
As a result of complications from her injuries, she died six weeks later.
Alfred Tonelli, as administrator of his wifes estate, sued the Board for negligently
creating and maintaining the speed bump. The Board asserted that the Charitable Immunity
Act exempted it from liability. Both parties moved for partial summary judgment on
the issue of whether the Board was entitled to immunity under the Act.
The trial judge agreed with the Board and Tonelli appealed. The Appellate Division
reversed, concluding that the Legislature did not intend the Charitable Immunity Act did
not intend to insulate purely public entities from liability. This Court granted the
Boards petition for certification.
2. In 1958, in a trilogy of cases, this Court abolished charitable immunity
after finding that the doctrine no longer comported with present day concepts of
right, justice, and morality. This Court declared that such immunity was counter to
widespread principles which fairly imposed liability on those who wrongfully and negligently injured
others. (p. 6)
6. In Winters, we rejected an Appellate Division decision and adopted the dissenting opinion
of Judge Lynch. In effect, Judge Lynch detailed what our own research has
revealed that public entities were never insulated from common-law tort liability by charitable
immunity. Winters held that purely publicly funded governmental entities, created to provide services
to which our citizens are entitled, were never within the contemplation of the
Charitable Immunity Act. (pp. 10-13)
7. Subsequent to Winters and despite the fact that the Legislature had occasion to
revisit and amend the Act eight times, it did not alter the Winters
principle that public entities are outside the reach of the Act. We take
that acquiescence as further evidence that Winters was in accord with the Legislatures
intent. (pp. 13-14)
8. Nothing in our recent decisions in OConnell v. State and Ryan v. Holy
Trinity Evangelical Lutheran Church has altered that landscape. What OConnell recognized was that
there are entities with mixed public and private elements, and that such hybrids
need to be analyzed in light of the aims underlying charitable immunity. So
analyzed, Montclair State University was allowed to invoke charitable immunity because it is
not governmentally operated; it is not wholly supported by public funds; and it
does not provide a service to which our citizens are entitled. Ryan simply
held that a purely private entity with no public aspects satisfies the construct
of enumerated organizations within the Act. (pp. 14-15)
9. The public school board bears none of the indicea of a private charity.
Its sole source of revenue is public funds. It is an instrumentality of
the State that is obligated to meet the educational needs of the children.
A public school board is simply not a charity within the meaning of
the Charitable Immunity Act. The Charitable Immunity Act has no applicability to public
entities supported entirely by tax dollars and providing services to which the public
is entitled as of right. (pp. 16-17)
Plaintiff-Respondent,
v.
Defendant-Appellant,
and
THE TOWNSHIP OF WYCKOFF, NEW JERSEY,
Defendant.
Argued September 28, 2005 Decided December 28, 2005
On certification to the Superior Court, Appellate Division, whose opinion is reported at
373 N.J. Super. 421 (2004).
Jeffrey L. Shanaberger argued the cause for appellant (Hill Wallack, attorneys; Mr. Shanaberger
and Marilyn S. Silvia, on the briefs).
Donald A. Kessler argued the cause for respondent (Schwartz Simon Edelstein Celso &
Kessler, attorneys).
Susan S. Hodges submitted a brief on behalf of amicus curiae, New Jersey
School Boards Association Insurance Group (Archer & Greiner, attorneys).
JUSTICE LONG delivered the opinion of the Court.
On this appeal, we are called upon to determine whether, in addition to
the immunities provided in the Tort Claims Act, N.J.S.A. 59:1-1 to 12-3, a
governmental entity - in this case a public school board -- enjoys the
benefits of the Charitable Immunity Act. N.J.S.A. 2A:53A-7 to -11. The trial judge
answered that question in the affirmative and the Appellate Division reversed. We agree
with the appellate panel and reaffirm our holding in Winters v. Jersey City,
63 N.J. 7, 8 (1973), that charitable immunity has no applicability to a
governmental entity funded exclusively by the public and rendering services to which citizens
are entitled as of right. The Charitable Immunity Act provides that [n]o nonprofit corporation, society or association organized exclusively for religious, charitable or educational purposes or its trustees, directors, officers, employees, agents, servants or volunteers shall . . . be liable to respond in damages to any person who shall suffer damage from the negligence of any agent or servant of such corporation, society or association, where such person is a beneficiary, to whatever degree, of the works of such nonprofit corporation, society or association . . . . Accordingly, a statutorily enumerated institution seeking immunity must demonstrate that it (1) was formed for nonprofit purposes; (2) is organized exclusively for religious, charitable or educational purposes; and (3) was promoting such objectives and purposes at the time of the injury to plaintiff who was then a beneficiary of the charitable works. Hamel, supra, 321 N.J. Super. at 72 (citations omitted). A non-profit entity that is organized exclusively for educational purposes satisfies the second prong. Ryan, supra, 175 N.J. at 346. The Board maintains that it literally fits within that construct and that that should be the end of the inquiry. Tonelli asks that we eschew literal interpretation and hold that a school board is outside the scope of the Act even if it technically can satisfy the statutory terms. We do not agree that the Board fits within the construct of a non-profit corporation, society or association. N.J.S.A. 2A:53A-7a. On the contrary, as an instrumentality of the State itself, Durgin v. Brown, 37 N.J. 189, 199 (1962), it seems to us that the Board is intrinsically distinct from the denominated entities. But even if we were to conclude that the Boards organizational structure does not clearly exclude it from the Act, that would not be the end of the inquiry. As we have said, only those entities that were immunized at common law are entitled to the protection of charitable immunity. We thus consider the legislative and judicial history of the Act to determine the status of a board of education at common law. We turn first to the legislative proceedings antecedent to the Act. Except for one exchange during a legislative hearing that tends to support the notion that public schools were not within the contemplation of the drafters, Public Hearing Before Assembly Judiciary Comm. on Assembly Comm. Substitute for Senate Bill No. S-204, 107-08 (July 17, 1958), the legislative history is sparse and uninformative. We therefore consider judicial precedent for insight into the issue of whether a public entity was protected by common-law charitable immunity. Our research reveals that of the myriad of judicial decisions involving negligence claims against public entities at common law, not one directly raised, let alone held, that such an entity is entitled to charitable immunity. See footnote 1 Although the absence of decisions regarding a subject is not as satisfying as on-point holdings, that monolithic history suggests that the common law did not recognize charitable immunity as applicable to public entities. Indeed, over a quarter of a century ago, in Winters, supra, 63 N.J. at 7-8, we said just that. There, we rejected an Appellate Division decision that a hospital, wholly owned and operated by a municipality qualified for limited charitable immunity See footnote 2 from liability to a patient who suffered injuries during his treatment. Ibid. In so doing, we adopted the dissenting opinion of Judge Lynch who concluded that the Act should be construed in light of its common-law roots. According to Judge Lynch, the common law recognized the difference between a public entity and the kinds of organizations to which charitable immunity was intended to apply: The words describing those organizations upon which the statute confers either total or limited immunity (nonprofit corporation, etc.) have developed an established connotation in our law, i.e., a private charity which depends on charitable contributions and whose funds are held in trust solely for the purpose of the charity. The statutory language is derived directly from the cases which conferred immunity upon private charities at common law. A municipality is not such a corporation, society or association. It is organized under, and has the powers and duties provided for, in N.J.S.A. 40:42-1 et seq. I agree with what was said in White v. Charity Hospital of La. In New Orleans, 239 So.2d 385 (La. Ct. App. 1970):
The moribund chimera of charitable immunity has no application to a government hospital.
The anachronistically named Charity Hospital does not dispense charity but rather renders services
to which qualified citizens are entitled as a matter of legal right; and
it is supported not by alms but by taxes. Public hospitals, like public
schools, are not charitable or eleemosynary institutions. [Winters v. Jersey City, 120 N.J. Super. 129, 138 (App. Div. 1972), modified on dissent, 63 N.J. 7 (1973)(Lynch, J., concurring in part and dissenting in part).]
In terms particularly relevant to the issue before us, Judge Lynch observed: In effect, Judge Lynch detailed what our own research has revealed that public entities were never insulated from common-law tort liability by charitable immunity: [T]he clear language of the limited immunity statute, N.J.S.A. 2A:53A-8, refers only to those hospitals which were protected by charitable immunity before abolition of that doctrine in Dalton v. St. Lukes Catholic Church, 27 N.J. 22 (1958); Collopy v. Newark Eye and Ear Infirmary, 27 N.J. 29 (1958), and Benton v. Y.M.C.A., 27 N.J. 67 (1958). . . . The statute cannot be construed as applying to a municipality operating a city hospital. Recently, the Appellate Division adopted the Winters rationale. In Hamel, supra, 321 N.J. Super. at 70-71, a student at a public middle school and her parents sued the Bergenfield Board of Education, alleging that the Board failed to take appropriate measures to end various forms of taunting and harassment that the student suffered at the hands of her classmates. There, the Appellate Division held that the [Act] was not intended to provide immunity to public entities such as local school boards, id. at 70, and cited Winters, supra, 120 N.J. Super. at 144-45 (Lynch, J.A.D., concurring in part and dissenting in part), for the proposition that a public school board, a tax-funded entity like a municipal hospital, does not qualify for charitable immunity. Hamel, supra, 321 N.J. Super. at 75. In Gerber, supra, 328 N.J. Super. at 30-33, a student at a public junior high school and her parents filed suit against the Board of Education, claiming that it negligently failed to prevent the student from being assaulted by a classmate. Relying upon Hamel, the Appellate Division refused to apply charitable immunity to the Board and its members, writing, [a] local board of education is not entitled to immunity under the [Act]. Id. at 40 (citing Hamel, supra, 321 N.J. Super. at 77). Recapping, Winters held that purely publicly funded governmental entities, created to provide services to which our citizens are entitled as a matter of right, were never within the contemplation of the Charitable Immunity Act. The Legislature is presumed to be aware of the judicial construction placed on an enactment, and such a construction, supported by lengthy legislative acquiescence or failure to amend the statute should be viewed as dovetailing with legislative intent. Macedo v. Dello Russo, 178 N.J. 340, 346 (2004); see also Quaremba v. Allan, 67 N.J. 1, 14 (1975). Subsequent to Winters, and despite the fact that the Legislature had occasion to revisit and amend or expand the Charitable Immunity Act eight times, See footnote 3 it did not alter the Winters principle that public entities are outside the reach of the Act. We take that acquiescence as further evidence that Winters was in accord with the Legislatures intent. We reaffirm that entirely sensible holding today. The Boards argument that no exception for public entities is contained in the literal language of the Charitable Immunity Act is unpersuasive. That claim misses the proverbial forest for the trees. The primary purposes of the Act - protecting private trust funds and contributions, encouraging altruistic activity and private philanthropy, and relieving the government of the obligation of providing beneficent services -- are not advanced by affording immunity to a purely public entity. To the extent that Muntz v. Newark City Hospital, 115 N.J. Super. 273 (App. Div. 1971), may be read to suggest otherwise, it is disapproved. Nothing in our recent decisions in OConnell and Ryan has, in any way, altered that landscape. In OConnell, a case involving a student injured at Montclair State University, Montclair invoked charitable immunity on the ground that it was a private non-profit corporation organized exclusively for educational purposes. 171 N.J. at 486-87. Although we ultimately agreed that Montclair was entitled to immunity, our starting point in OConnell was to reaffirm the basic principle of Winters: that purely publicly funded governmental agencies, created to provide services to which our citizens are entitled as a matter of right, are not and have never been within the contemplation of the Charitable Immunity Act. Id. at 493-95. What OConnell recognized, however, was that there are entities with mixed public and private elements, and that such hybrids need to be analyzed in light of the aims underlying charitable immunity. So analyzed, Montclair was allowed to invoke charitable immunity essentially because it is not governmentally operated; it is not wholly supported by public funds but largely by tuition and charitable contributions; and it does not provide a service to which our citizens are entitled as of right. Id. at 493-96. Put differently, the purposes informing the Act would be advanced by cloaking Montclair in charitable immunity. Contrary to the Boards argument here, OConnell did not alter Winters fundamental holding that purely public entities are not entitled to charitable immunity; rather, it held that, because of its hybrid nature, Montclair is not such an entity. Id. at 497. Nor does Ryan change that calculus. Ryan simply held that a purely private entity, with no public aspects, that is organized exclusively for educational purposes satisfies the second prong of the Act. 175 N.J. at 346. Thus, we read the Act, as we did over a quarter of a century ago in Winters, as inapplicable to purely public entities which were not immune at common law. V That brings us to the facts in this case and the issue of where a local school board is positioned on the continuum between a charity and a public entity. The New Jersey Constitution prescribes: The Legislature shall provide for the maintenance and support of a thorough and efficient system of free public schools for the instruction of all the children in the State between the ages of five and eighteen years. The governmental vehicle through which that mandatory education takes place is the local school board. See N.J.S.A. 18A:8-1 (Each municipality shall be a separate school district . . . .). Unlike the state college considered in OConnell, the public school board bears none of the indicia of a private charity. It is not supported by charitable contributions, philanthropic activity or a spirit of altruism. On the contrary, its sole source of revenue is public funds in the form of taxes and government aid. Hamel, supra, 321 N.J. Super. at 75. Neither is it an entity that relieves the government of the need to provide beneficent services. Rather, it is the government in action - an instrumentality of the State itself that is obligated to meet the educational needs of the children in its district. Durgin, supra, 37 N.J. at 199. In short, the hybrid nature of the state college that qualified it for charitable immunity in OConnell is entirely lacking in the case of a school board which falls squarely at the public entity end of the charity-to-government continuum. To be sure, such an entity is entitled to government immunity under the Tort Claims Act, N.J.S.A. 59:1-1 to 12-3, but not to charitable immunity. A public school board is simply not a charity within the meaning of the Charitable Immunity Act. We affirm the judgment of the Appellate Division to that effect and declare that the Charitable Immunity Act has no applicability to public entities supported entirely by tax dollars and providing services to which the public is entitled as of right. CHIEF JUSTICE PORITZ and JUSTICES LaVECCHIA, ZAZZALI, ALBIN, WALLACE, and RIVERA-SOTO join in JUSTICE LONGs opinion.
SUPREME COURT OF NEW JERSEY
ALFRED TONELLI, Administrator
Plaintiff-Respondent,
v.
BOARD OF EDUCATION OF THE
Defendant-Appellant,
And
THE TOWNSHIP OF WYCKOFF, NEW
Defendant.
DECIDED December 28, 2005
Footnote: 1 The sole common law case that mentioned charitable immunity in the context of a public entity is Kress v. City of Newark, 9 N.J. Super. 70 (App. Div. 1950), in which the applicability of the doctrine was not decided because the plaintiff was not a beneficiary of the hospitals works. Footnote: 2 At the time, the immunity statute, N.J.S.A. 2A:53A-8, limited the patients recovery to $10,000. Winters v. City of Jersey City, 120 N.J. Super. 129, 131, 134 (1972). Footnote: 3 The Act has been modified eight times: L. 1995, c. 183; L. 1991, c. 187, §48; L. 1989, c. 283, §1; L. 1989, c. 249; L. 1989, c. 171, §1; L. 1988, c. 179, §1; L. 1988, c. 87, §2; and L. 1987, c. 87, §1.
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